Buy Hold Sell: 5 stocks with fantastic fundamentals

For nearly 30 years, Martin Roth has published the book ‘Top Stocks’, highlighting 100 ASX companies that are considered to be financially sound. 

In conducting the analysis, the share price of a stock is ignored and the focus is on companies with strong balance sheets, profitability, low debt levels, and sustainable dividends.

More specifically, a "Top Stock" must be:

• Publicly listed since 2017
• A constituent of the All Ordinaries Index (i.e. Top 500 company by market capitalisation)
• Boast a Return on Equity (ROE) ratio of at least 10% in the most recent financial year
• Have a Debt-to-Equity (D/E) ratio of less than 70%

We’ve used similar criteria, with help from the Market Index website, to identify fundamentally sound small caps. 

 

So, which stocks make the cut? And are they all worth buying right now?

To answer those questions, Ben Rundle from Hayborough Investment Partners and Will Granger, from Airlie Funds Management joined Livewire's Chris Conway. 

And just because we know you love a stock pick, they also highlight their top stock with fantastic fundamentals. 

Note: This episode was recorded Wednesday 26 July 2023. You can read an edited transcript below: 

https://www.livewiremarkets.com/wires/buy-hold-sell-5-stocks-with-fantastic-fundamentals